"It's great that the Productivity Commission has recognised airports across Australia have invested heavily in vital infrastructure and improved productivity. This shows that light-handed regulation works.

"We are continuing to develop our vision to reconfigure Sydney Airport, integrating international, domestic and regional services into two terminal precincts with our airline partners and continuing to invest in improving productivity and efficiency for all of NSW.

Service quality ratings reported by the ACCC also improved over the monitoring period.

"We take service quality very seriously and were pleased that we achieved our highest ratings in many years. We anticipate that our recent introduction of regular, internal service monitoring will further improve our service quality," Ms Mather said

Sydney Airport was one of two airports to hold parking rates steady during the monitoring period.

"We work hard at delivering choice to travellers and other airport customers. Last year we launched a number of extremely competitive parking deals on our website, with savings of up to 60 per cent off drive-up rates.

"This has been well received by customers, who are taking up online deals in growing numbers."